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Friday, 24 April 2009

Guido Fawkes' Blog has a very good take on the latest Budget. The top rate increase in tax means that the most entrepenuerial among us will now pay a minimum of 63.8% of their income directly to the government. When you add in all the stealth taxes Labour have brought in, the take becomes unsustainable. It seems that Labour will never ever learn that if you try to steal the rewards that these people generally earn by working longer hours than anyone else and harder than anyone else - you simply drive them away to go and earn elsewhere.

This principle was recognised in the 17th Century by Louis XIV's Minister of Finance who invented the "Laissez faire" approach to economic management. He felt that by liberalising fiscal policy and reducing tax he encouraged the attraction of wealth by enabling the entrepeneurs to flourish. He was right, and France has never been wealthier than under his management. A pity his successors tried to do what Labour always do - and steal more money from the hardworking to pay for ideological folly.

Time will, I think judge this budget, and I'm pretty certain it will be a damning judgement. I suspect that this budget will introduce a terminal decline in this nation's fortunes as a world centre for trade, finance and investment. The stupidity and dishonesty of the tax system here is becoming all too apparent - even the lowest paid are now paying over 40% of their income in direct and stealth taxes directly too the government. What do we get in return?

Not a lot, most of it pays fat cat Civil Servants to do as little as possible and prevent anyone actually getting anything like the services they are supposed to provide. And don't forget that under Labour the Civil Service has grown by a full 5th of its size. That is where your and my money is going - into worthless and pointless jobs for Labour supporters who are not providing the services they are supposed too because they are too busy shuffling pointless forms and setting equally pointless "targets" for each other.

Time to throw the lot into the sea. (Or the Thames - except that would render it unusable for far to long..... )

3 comments:

  1. The Thames has enough problems with otters, crayfish, cormorants and chinese mitten crabs. What you suggest could tip nature's balance. There are enough effluent discharges already!

    New Labour = genetically modified communism.

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  2. WOW, 63.8% and the Americans are complaining about 38.4%. In fact with a carefull budget taxes wouldn't have to be above 17%. But alot of pork would have to go. Americans talk alot about getting the government out of thier lives until a program they like is cut.

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  3. Most governments can manage on no more than 20%, but then they get ambitious. Pet projects and ideologies tend to take over and there is always a rent-a-mob crew ready to take to the barricades to demand that necessary "cuts" shouldn't be made. And the "Pork Barrel" in every government's budget is the real killer and the least monitored or regulated.

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